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A quarterly analysis of changes to the main construction cost indices, material prices and labour costs shows continuing upward movement
Material and labour prices are continuing to rise, but global economic uncertainty may affect the numbers in future
Price pressures continue to be caused by weak productivity aggravated by Brexit negotiations, while exchange rates improved as the Bank of England prepared to raise interest rates.
Building costs rose overall, with materials cost inflation increasingly contributing to this - labour costs are rising too but at a lower rate
Construction output has a way to go to get back to pre-recession levels; materials prices aren’t going anywhere fast and steel is in free fall.
The recent changes to Part L could add up to 8% to the capital cost of building, says David Holmes of Davis Langdon. This is what that will mean for primary schools, social housing and small industrial units
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